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What happens to all the returned phones?

AndroidSPCS

Android Expert
There are people here and on other internet boards who have posted that they have returned multiple phones. Sometimes as many as 4-6 phones in search of that perfect phone.

So what happens to all those phones? Do they get refurbished by the manufacturer, or discarded? And how do the cost of the returned phones affect us as consumers?

Nothing's free, so if returned phones are costing a lot of money, then surely the costs would be just added into the phones as they are rolled out, right?
 
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